EL DORADO HILLS, CA REO (BANK OWNED) SALES DATA FOR JUNE 2009
This is a continuation of my monthly report on Bank Owned home sales data for El Dorado Hills, CA. This report covers REO homes sold in June of 2009.
There were seventeen REO homes sold in June, exactly the same number that were sold in May. The average days-on-market dropped from 119 in May to 93 in June, so REO homes sold even more quickly. Of the REO homes sold, only 17.7% were on the market for less than two weeks. This is a much smaller percentage than normal. Some of the older inventory has been cleaned out. Of the seventeen REO homes sold, six were on the market over 100 days; four of those have been on the market for over 200 days.
The seventeen homes sold represent only 33.4% of all homes sold in El Dorado Hills in June, up from 30.4% in May, and 50.0% in March.
The cost per square foot of REO homes in June increased to $ 144, up from $ 133 in May. Worthy of note, the average cost per square foot of all homes sold in June INCREASED to $ 160, up one dollar from the May. This is the first increase we have observed since we started tracking this data almost two years ago. Could we be at the bottom of the market in El Dorado Hills?
The difference between the cost per square foot of REO properties and the cost per square foot of all properties sold indicates that REO sales represented a 10% savings for REO buyers. A bigger savings than we have seen before.
The overall sales price for REO homes was 98.7% of the final asking price, and 92.9% of the original asking price. This indicates two things. First, the asking price of older inventory REO properties were reduced significantly in order to reach the correct market level and, second, proving once again that an expectation of buying a Bank Owned home for fifty cents on the dollar is a pipe dream. Unfortunately, some self-proclaimed experts may still be preaching about 50% savings to the uninformed and gullible. The actual, measurable savings is the difference in cost per square foot between REO homes sold and the cost per square foot of all home sold: in June, $10 per square foot. That is a $ 25,000 savings on a 2500 square foot home, not a small sum.
Specific Data FOllows:
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